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  • If that interest rate sounds too good to be true…

     

     

    Have you ever seen an advertised mortgage interest rate that seemed too good to be true?

    Those rates are often based on factors that aren’t likely to occur in a real-world scenario.

    Try plugging some numbers into our fun rate factors machine to see how a little bit of reality can impact advertised rates.

    Remember, your scenario may produce different results than what you see here—maybe even better.

     

    The only way to know for sure is to reach out. I’ll be happy to help when you’re ready!

    Sincerely,

    Fred Kreger
    American Family Funding
    Certified Mortgage Consultant
    NLMS # 1850 / 214640 BRE# 01215943 / 01371184
    (661) 505-4311
    Fred.Kreger@affloans.com
    28368 Constellation Road
    Suite 398
    Santa Clarita, CA
    91355

    www.fredkreger.com

    ©2017 American Pacific Mortgage Corporation. All information contained herein is for informational purposes only and, while every effort has been made to insure accuracy, no guarantee is expressed or implied. Any programs shown
    do not demonstrate all options or pricing structures. Rates, terms, programs and underwriting policies subject to change without notice. This is not an offer to extend credit or a commitment to lend. All loans subject to underwriting approval. Some products
    may not be available in all states and restrictions apply. Licensed by the Department of Business Oversight under the CRMLA.

     

     

    Read more
  • Inflation and rents are both on the rise in this week’s Markets in a Minute!

     

     

    For the Week Ending March 23, 2018

     

    Inflation Data:

    We can forget the regular news that most traders use to make their daily decisions. With President Trump’s announcement of tariffs against China, and with the late Thursday afternoon announcement that China will retaliate with 3 Billion Dollars (yes that is a “B”) in tariffs of their own against the planned U.S. tariffs of 50 Billion (yes another “B”), no one knows how this will play out.

     

    This is not an American – China issue. This trade war will impact the entire world and can have unknown consequences. Nothing like this has ever been done before. Even expert opinions on this matter, that have emerged immediately since the announcements, means nothing. It is all speculation on not only the outcome of these decisions between the two countries, but the global economic impact. Time will tell what the reality of these decisions will be if both countries stick to their announced plans.

     

    The Federal Open Market Committee Announcement:

    The Fed reiterated that they are sticking to their plan of a total of 3 interest rate hikes in 2018. The Fed did raise rates, as expected, by 25 basis points. One rate hike down, two more to go. Inflation continues to be described as moderate and the expectation that in the coming months it will likely increase. Needless to say, the threat of a trade war with China threatens to upend any plans the Fed has for economic policy.

     

    The Fed sees the economy as stable, however they have changed their description in describing the economy from “solid” to “moderate”.

     

    Existing Home Sales:

    Existing home sales jumped 3.0 percent in the month of February. The annualized rate of 5.540 million was higher than expected. Compared to the same time last year, sales are up 1.1 percent. Prior to this report, sales were actually negative compared to last year.

    The best part of the February sales data comes from the single-family home sector. Sales increased 4.2 percent while supply also increased 4.6 percent to 1.590 million. The increase in sales did not negatively impact home prices. The median home price rose 0.4 percent. Compared to the same time last year, prices are 5.9 percent higher.

     

    Next week’s potential market moving reports are:

    • Monday March 26th – Dallas Fed Manufacturing Survey
    • Tuesday March 27th – S&P Corelogic Home Price Index, Consumer Confidence
    • Wednesday March 28th – MBA Mortgage Applications, Pending Home Sales
    • Thursday March 29th – First Time Jobless Claims, Consumer Sentiment

     

    As your mortgage and real estate professional, I am happy to assist you with any information you may need regarding mortgage or real estate trends. I welcome the opportunity to serve you in any way
    I possibly can.

     

    Please enjoy this quick update on what happened this week in the housing and financial markets.

     

     

    As expected, the Fed raised policy rates at this week’s meeting. While they alluded to only two more hikes this year, rising inflation could necessitate more. 
    The institution of tariffs, most recently against China, can contribute to rising inflation by limiting free markets. Inflation fuels rising interest and
    mortgage rates.
    After rising quickly early in the year, mortgage rates have stabilized. Nonetheless, further increases are expected through the rest of the year.

     

    Existing home sales were up 3% in February, despite a chronic shortage of inventory. That’s 1.1% higher than February 2017, showing strong demand.
    Tight inventory, especially for homes in the lower price ranges, is the new normal. Housing inventory was down 8.1% from a year ago this time.
    Along with interest rates, rents have been rising. A recent survey concluded that the largest 250 U.S. cities saw rents grow year over year by an average
    of 2.7%.

    If you make something idiot proof, someone, somewhere will make a better idiot.

     

    Rate movements and volatility are based on published, aggregate national averages and measured from the previous to the most recent midweek daily reporting period. These
    rate trends can differ from our own and are subject to change at any time.

    Sincerely,

    Fred Kreger
    American Family Funding
    Certified Mortgage Consultant
    NLMS # 1850 / 214640 BRE# 01215943 / 01371184
    (661) 505-4311
    Fred.Kreger@affloans.com
    28368 Constellation Road
    Suite 398
    Santa Clarita, CA
    91355

    www.fredkreger.com

     

    ©2017 American Pacific Mortgage Corporation. All information contained herein is for informational purposes only and, while every effort has been made to insure accuracy, no guarantee is expressed or implied. Any programs shown
    do not demonstrate all options or pricing structures. Rates, terms, programs and underwriting policies subject to change without notice. This is not an offer to extend credit or a commitment to lend. All loans subject to underwriting approval. Some products
    may not be available in all states and restrictions apply. Licensed by the Department of Business Oversight under the CRMLA.

     

     

     

    Read more
  • Refreshing news in this week’s Markets in a Minute!

     

     

    For the Week Ending March 16, 2018

    Please enjoy this quick update on what happened this week in the housing and financial markets.

     

     

    Consumer inflation was less threatening in February according to the recent CPI data. If inflation rises too quickly, mortgage rates could follow.
    Concerns over import tariffs and possible trade wars continue to plague markets and could cool the economy. This could help keep rates from rising.
    The Fed is expected to raise policy rates at next week’s meeting. The change has already been priced into mortgage rates and likely won’t have further impact.

     

    A recent survey shows Baby Boomers want high speed internet and to live near grocery stores and hospitals. Over 90% said they plan to stay in their own home. 
    Another poll found more than 70% of homeowners in their home for 10+ years aren’t moving because they like their home. Another 21% don’t want the hassle of
    a move.
    The NAR found that 40% of potential millennial home buyers would start their property search online, while 15% said they would call an agent first.

    I love pressing F5. It is so refreshing.

     

    Rate movements and volatility are based on published, aggregate national averages and measured from the previous to the most recent midweek daily reporting period. These
    rate trends can differ from our own and are subject to change at any time.

    Sincerely,

    Fred Kreger
    American Family Funding
    Certified Mortgage Consultant
    NLMS # 1850 / 214640 BRE# 01215943 / 01371184
    (661) 505-4311
    Fred.Kreger@affloans.com
    28368 Constellation Road
    Suite 398
    Santa Clarita, CA
    91355

    www.fredkreger.com

    ©2017 American Pacific Mortgage Corporation. All information contained herein is for informational purposes only and, while every effort has been made to insure accuracy, no guarantee is expressed or implied. Any programs shown
    do not demonstrate all options or pricing structures. Rates, terms, programs and underwriting policies subject to change without notice. This is not an offer to extend credit or a commitment to lend. All loans subject to underwriting approval. Some products
    may not be available in all states and restrictions apply. Licensed by the Department of Business Oversight under the CRMLA.

     

    Read more
  • Here’s the latest on home values – Real Estate Appreciation Data

     

    As part of my ongoing service to you, I like to share information on trends in the real estate industry. Simply
    click here
    to view an interactive map with the most up-to-date rates of change in home values, as well as appreciation rates over a number of different time periods.

     

    My hope is that understanding recent and long-term trends can help you remain an informed consumer, whether you’re comfortable in your home or considering a change. Please take a few seconds to check it out.

     

    If you have questions or if I can ever be of service to you, your family and your friends, please let me know. I am here to help and happy to do so.

     

    This information is derived from the FHFA All Transactions Index and is compiled by Estate of Mind, Inc., for the period illustrated. Figures shown are historical averages and as such, do not represent price movement for any one property. All property values can rise or fall independently and may do so based on many factors. Information is deemed accurate but not warranted.

    Sincerely,
    Fred Kreger
    American Family Funding
    Certified Mortgage Consultant
    NLMS # 1850 / 214640 BRE# 01215943 / 01371184
    (661) 505-4311
    Fred.Kreger@affloans.com

    28368 Constellation Road
    Suite 398
    Santa Clarita, CA 91355
    www.fredkreger.com

     

    ©2017 American Pacific Mortgage Corporation. All information contained herein is for informational purposes only and, while every effort has been made to insure accuracy, no guarantee is expressed or implied. Any programs shown do not demonstrate all options or pricing structures. Rates, terms, programs and underwriting policies subject to change without notice. This is not an offer to extend credit or a commitment to lend. All loans subject to underwriting approval. Some products may not be available in all states and restrictions apply. Licensed by the Department of Business Oversight under the CRMLA.

     

     

     

    Read more
  • Granite counter-tops are essential? Find out it in Markets in a Minute!

     

     

    For the Week Ending March 9, 2018

     

    The Stock Market and Economic Policy:

    In a week where the was not much economic data that rattled investors, there were certainly enough political upheavals to scare investors. Depending on which day it is, one day investors are concerned about the Tariff’s President Trump wants to impose on steel and aluminum, and the next day they don’t seem to care.

     

    Gary Cohn, Trump’s top economic advisor, resigned this week from the White House. Because of a significant disagreement regarding Trump’s plans for tariffs, Cohn felt he could not longer work with the President. This sent a scare through the markets, as it never breeds stability when a main player in the White House resigns, let alone someone is very much in touch and responsible for economic changes and policies instituted by the President.

    On Thursday President Trump followed through on his promise to impose tariffs on aluminum and steel imports. He softened his stance somewhat when he made provisions for Canada and Mexico to be exempt from the tariffs.

    As much as many government officials, both Democrat and Republican, disagree with this approach to fixing the trade deficit, only time will tell how other countries will respond against the U.S. There are some that believe the President is doing this to bring
    those countries engaged in unfair trade practices to the negotiating table.

     

    Employment Activity:

    ADP reported a stronger than expected employment report for this coming Friday. They are predicting an increase in private payrolls by 235,000. This is well above Econoday’s high estimate. ADP predictions have been on the high side of government data in recent months, but they have been closer than in years past, in which they had virtually lost all credibility in their predictions. ADP regained some credibility with last months estimates in which they were within 10,000 of the labor department’s report.

     

    Mortgage Activity:

    Mortgage rates continue to move higher which is being felt in the numbers of mortgage loan applications for home purchases. For the week of March 2nd, purchase applications declined by 1.0 percent. Refinances actually increased by 2.0 percent, which is rather surprising. Applications for refinance are down to only 41.8 percent of total residential mortgage activity. You may recall that for many years, refinances were well over 50 percent of all mortgage activity

    .

    Next week’s potential market moving reports are:

    • Tuesday March 13th – Consumer Price Index
    • Wednesday March 14th – MBA Mortgage Applications, Producer Price Index, Retail Sales
    • Thursday March 15th – First Time Jobless Claims
    • Friday March 16th – Housing Starts, Industrial Production, JOLTS Report

     

    As your mortgage and real estate professional, I am happy to assist you with any information you may need regarding mortgage or real estate trends. I welcome the opportunity to serve you in any way I possibly can.

     

    Please enjoy this quick update on what happened this week in the housing and financial markets.

     

     

    President Trump’s proposed tariffs continue to spark talk of a trade war. This has caused uncertainty in markets, helping stabilize rates in the near term.
    Although jobless claims last week came in higher than expected, the labor market remains strong, supporting a likely Fed policy rate increase this month.
    The European Central Bank has shown confidence in the overseas economy and inflation. A strong global economy can pressure mortgage rates higher this year.

     

    New home prices are likely to be pushed higher as builder costs increase. Lumber prices are up 25% over the same time last year.
    Homebuyers are demanding more from their homes. A 2-car garage, granite countertops, and walk-in closet are now often cited as “essential” home features.
    New tariffs on steel could drive up the cost of building apartment buildings and condos. Single-family homes, made of wood, are less likely to be affected.

    I bought the world’s worst thesaurus yesterday. Not only is it terrible, it’s terrible.

     

    Rate movements and volatility are based on published, aggregate national averages and measured from the previous to the most recent midweek daily reporting period. These
    rate trends can differ from our own and are subject to change at any time.

    Sincerely,

    Fred Kreger
    American Family Funding
    Certified Mortgage Consultant
    NLMS # 1850 / 214640 BRE# 01215943 / 01371184
    (661) 505-4311
    Fred.Kreger@affloans.com
    28368 Constellation Road
    Suite 398
    Santa Clarita, CA
    91355

    www.fredkreger.com

    ©2017 American Pacific Mortgage Corporation. All information contained herein is for informational purposes only and, while every effort has been made to insure accuracy, no guarantee is expressed or implied. Any programs shown
    do not demonstrate all options or pricing structures. Rates, terms, programs and underwriting policies subject to change without notice. This is not an offer to extend credit or a commitment to lend. All loans subject to underwriting approval. Some products
    may not be available in all states and restrictions apply. Licensed by the Department of Business Oversight under the CRMLA.

     

     

     

    Read more
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